PSP Projects IPO covered 27% on second day
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The initial public offering (IPO) of construction firm PSP Projects Ltd was subscribed around 27% on the second day of the issue on Thursday led by retail investors.

The public offering of 5.54 million shares – excluding the anchor investors’ portion – received bids for 1.47 million shares, stock exchange data showed.

Retail investors led the bidding process with the quota of shares reserved for them fully covered.

The portion set aside for non-institutional investors, such as corporate houses and wealthy individuals, was covered about 16%. The portion earmarked for institutional investors was subscribed a tad more than 4%.

The company made a muted start to its IPO on day one. The issue was subscribed just 7% on Wednesday.

Ahmedabad-based PSP is looking to raise as much as Rs 211.65 crore from the public issue. Of this, it mopped up Rs 95.26 crore from a bunch of anchor investors.

PSP Projects had filed draft prospectus for an initial share sale on 29 December 2016. It received regulatory clearance on 24 March.

PSP, whose offer will close on 19 May, will join several infrastructure and construction firms that are either planning to for public issues or have completed IPOs to list on bourses.

Delhi-headquartered GR Infraprojects Ltd is planning to go public with an estimated IPO size of Rs 500 crore.

Other infrastructure firms that went public in the past 18 months include Shankara Building Projects Ltd, Sadbhav Infrastructure Project Ltd, PNC Infratech Ltd, MEP Infrastructure Developers Ltd and Dilip Buildcon Pvt. Ltd.

For further details on PSP Projects’ IPO, click here.

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